United Airlines plans to cancel almost 2,000 flights in September as it struggles to minimise the impact of a pilot dispute over contracts and the planned takeover of US Airways. Analysts predict the disruption could cause third quarter pre-tax losses of up to $150 million.

News of the cuts came after United president Rono Dutta admitted a pilot overtime ban was a "tremendous nightmare". The Chicago-based giant is trying to hire an extra 1,300 pilots, but has seen the dispute worsen, with some of its 10,000 pilots employing "sickout" tactics. It nevertheless hopes to have a new contract in place by 4 September.

United pilots began an overtime ban after contracts expired in April. Talks have been complicated by opposition to the airline's proposed $11.6 billion merger with US Airways, which the union fears could see United pilots lose seniority to US Airways' 6,000 pilots.

Over 4,800 flights have been cancelled from May to the end of this month, with 1,980 dropped for September.

Source: Flight International